Pre Feasibility Report 1.0 Executive Summary

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Pre Feasibility Report 1.0 Executive Summary PRE FEASIBILITY REPORT 1.0 EXECUTIVE SUMMARY Project name Amendment in Environmental Clearance of Integrated Steel Plant located at village Kamanda in Sundergarh District of Odisha by M/s Rungta Mines Limited with reference to Environmental Clearance vide MOEF letter no J-11011/434/2009-IA.II(I) dated 06.11.2017 and its amendment dated 08.03.2019 Location village Kamanda, District Sundergarh, Odisha TotalArea 154.489ha(381.74acres) Present Land status Sl. Details Area in Area in No. Acres ha 1. Private Land purchased 111.08 44.954 2. Private land acquired through 186.34 75.411 IDCO 3. Govt. Land Acquired through 61.52 24.897 IDCO 4. Balance Govt. land under 22.80 9.227 acquisition Total 381.74 154.489 Total rated Change in pellet plant configuration capacity Working days 350 days Manpower 2160 no additional manpower required Topography Flat Water requirement Total: 2448.81cum/hr . No additional water is required Source of water Karo River Power description Total power generation = 198 MW Station Load + auxiliary = 21 MW Power for utilisation = 177 MW Powersource CaptivePowerPlant 2.0 INTRODUCTION 2.1 Identification of project and project proponent Rungta Mines Limited is operating 0.27 MTPA DRI, 0.20 MTPA Steel and 40 MW Power Plant at Kamanda, Sundergarh, Odisha by M/s Rungta Mines Pre-feasibility Report – for amendment in EC letter of Kamanda Steel Plant 1 Limited. Environmental clearance for above existing plant is granted by MOEF vide Letter no. J-11011/304/2007-IA.II (I) dated 12.12.2008. The company's vision & mission is to utilise its core values & strengths, complemented with the vast experience gained, to help it keep pace with the changing times and respond to domestic & international market forces by maintaining consistent quality & despatch schedules, making RML synonymous with reliability. 2.2 Brief description of nature of the project The nature of the project for enhancement is ferrous metallurgical industries and fall under the category 3(a) under the category “A” of the schedule of EIA Notification, 2006. 2.3 Need for the project and its importance to the country and/or region Steel : India’s economic growth is contingent upon the growth of the Indian Steel Industry. Consumption of steel is taken to be an indicator of economic development. While steel continues to have a strong hold in traditional sectors such as construction, housing and ground transportation, special steels are increasingly used in engineering industries such as power generation, petrochemicals and fertilizers. Power : The DRI kiln operation produces substantial quantity of hot gases, which can be utilised to power generation, further large quantity of waste produce char. So company will also install 87 MW WHRB + 111 MW AFBC based power plant. The generated power will meet the power requirement of Beneficiation, Pelletisation plant, Coal washery, DRI, Sinter plant, Blast Furnace, Coke oven plant, SMS, Billets/ slab / Bloom caster, Flat Round/ Wire rod/ Structural mill/ others, coal washery and Ferro Alloys Plant. Thus, power demand from the state grid will be not be there and will improve the power scenario locally as well as at state level. 2.4 Demand-supply gap Steel : The Indian Steel industry has entered into new development stage from 2005-2006 riding high on the resurgent economy and rising demand of Steel. Rapid rise in production has resulted in India to become 5th largest producer of steel. It is estimated that, India’s Steel consumption will continue to grow at nearly 16% rate annually, fuelled by the demand of construction project. The National Steel Policy envisaged steel production to reach 110 million tonnes by 2020. So considering the huge demand of steel, this project is important for partially fulfilling of demand. Power: Over the year electricity industry has made significant progress. It may be seen that average gap between generation and demand in India is - 1.9 %. Power supply positions are given Table 1. Pre-feasibility Report – for amendment in EC letter of Kamanda Steel Plant 2 TABLE 1 POWER SUPPLY POSITION Region Peak demand Peak met Deficit % Jan15 Jan16 Jan15 Jan16 Dec14 Dec15 All Northern 42387 44124 40774 42019 -3.8 -4.6 Western 42247 45236 41553 45173 -1.6 -0.1 Southern 37004 37301 35446 36745 -4.2 -1.5 Eastern 15575 17343 15373 17198 -1.3 -0.8 North 2455 2367 2202 2332 -1.03 -1.5 eastern All India 139662 140782 135348 138075 -3.1 -1.9 Source: CEA 2.5 Imports vs. indigenous production Import of steel from china had adversely affected the Indian Steel Market and the policy change by Govt of India is now leading to recovery of the sector. There is no proposal for import of steel. 2.6 Export possibility First priority is to meet domestic demand and will also take into account the large export possibilities if any. 2.7 Domestic / Export markets Sponge Iron will be used as raw material (in house) for producing steel. The steel shall be sold in domestic market. Steel produced shall be used in domestic market. 2.8 Employment generation (Direct and Indirect) Existing manpower is 2160. No additional manpower will be required for enhancement of production. 3.0 PROJECT DESCRIPTION 3.1 Type of project including interlinked and interdependent projects Nil. 3.2 Location with Coordinates District & State : Sundergarh, Odisha Village : Kamanda Latitude : 21°55’33’’ and 21°55’58’’ N Longitude : 85°13’16”and85°13’52”E Pre-feasibility Report – for amendment in EC letter of Kamanda Steel Plant 3 3.3 Details of Alternate Sites & Environmental Considerations No alternatives under consideration. The expansion project will be incorporated within the existing plot (154.489 ha) of land to the existing plot. Environmental considerations: There are no National parks, Wildlife Sanctuary, Biospheres reserves within 15 km radius. The nearest National Park is Simlipal at a distance of 97 km in E direction. The nearest Simlipal sanctuary at a distance of 130 km in E direction. There are several water bodies and forest present within the study area of the project. The distance to various water bodies, forest, etc. are given in Table 2. TABLE 2 DISTANCE AND DIRECTION (WITHIN 15 KM) OF WATER BODIES, FORESTS & MOUNTAINS FROM PROJECT BOUNDARY Name Distance Direction Forests: Torha RF 1.8 km NW Karo RF 1.0 km N Uliburu RF 6.3 km NNE Mendhamaruni RF 3.2 km E Kathamala RF 0.5 km E RFnearBhabani 3.6km SSE Sarkanda RF 5.5 km S Siddhamath RF 11.4 km NE Rakshi RF 12.7 km NW KhajurdihiRF 9.2km SSE Rivers & Streams : Bachanala 7.5 NW Boreamnala 8.1 SE Eruanala 4.8 WNW Geranala 5.4 W Gerianala 7.6 W Jakanal nala 8.6 SE Karo river 0.2 NE / E Khajurdihi nala 8.8 SE Khuntachiranala 7.3 SE Kukarha 0.5 E Lekerapani nala 1.9 E Samij nala 2.4 NW Karonala 0.01 E Sirki nala 9.3 WSW Sunanadi 8.6 E Teherai nala 6.5 SE Pre-feasibility Report – for amendment in EC letter of Kamanda Steel Plant 4 3.4 Size/Magnitude of operation Plant area: 154.489 ha The consolidated summary of the sanctioned facilities is given in Table 3 TABLE 3 : UNITS SANCTIONED IN EC LETTER DATED 06.11.2017 & ITS AMENDMENT DT. 08.03.2019 Sl.No. Facility Totalcapacity 1 Beneficiation Plant 1,200,000 2 Pellet Plant-1 600,000 Pellet plant-2 2,640,000 Sub Total 3,240,000 3 Coal Washery 924,000 4 DRI Plant 6X100 TPD 273,000 1X300 TPD 136,500 3X350 TPD 441,000 2X500TPD 420,000 Sub total 1,270,500 5 Sinter Plant -2x24sqm 532,224 6 Mini Blast Furnace 2X262 CUM 458,500 1X260 CUM 227,500 Sub-total 686,000 7 Coke Oven (2 batteries of 70,000 TPA) 140,000 8 SMS 4X15TIF,2x20LRF 277,200 9X15TIF,3x35TLRF 623,700 Subtotal 900,900 9 Billet/ Slab/ Bloom Caster Caster 1 271,656 Caster 1 271,656 Caster 1 339,570 Subtotal 882,882 10 Flat/ Round/ Wire Rod/ Structural Mill/ others Mill -1 260,790 Mill-2 260,790 Mill -3 325,987 Subtotal 847,567 11 Ferro Alloy Plant (1x9 MVA + 1x18 MVA) FerroManganeseOR 9MVA=18,000 18 MVA=36,000 SilicoManganeseOR 9MVA=14,400 18 MVA=28,800 FerroChromeOR 9MVA=14,400 18 MVA=28,800 Pre-feasibility Report – for amendment in EC letter of Kamanda Steel Plant 5 Sl.No. Facility Totalcapacity Ferro Silicon 9 MVA= 6,400 18 MVA=12,800 BriquettePlantforferrochrome 88,320 BriquettePlantforferromanganese 111,360 12 Captive Power Plant 198 MW WHRB 87 MW AFBC/CFBC(1x20MW+2x45.5MW) 111MW TABLE 4: FACILITIES UNDER OPERATION S.L Facilities Configuration Production 1 Sponge Iron plant 6x100 TPD 2,57,400 TPA 1x300 TPD 128,700 TPA 1x350 TPD 138,600 TPA 2 Steel Melting Shop comprising IF along with 4 X 15 T 231,000 CCM 3 Captive Power Plant WHRB 20 MW 20 MW AFBC 20 MW 20 MW PELLETISATION PLANT (3.24 MTPA) The pellet plant will be established as follows: PHASE → TPA (I) TPA (II) Remarks Pellet Plant-1 600,000 - Nochange Pellet plant-2 2X1,200,000 + 1x2400000 +10% Configuration 10% upgradation (240,000) upgradation change SubTotal 3,240,000 2,640,000 Now company to seek amendment in configuration of pellet plant from 2x1.32 MTPA to 2.64 MTPA Process Description Pellets are heat hardened balls produced from concentrates and natural iron ores of different mineralogical and chemical composition to produce charge materials with improved properties for iron making. The various steps involved in the pelletization process are feed preparation, green ball formation, pellet induration and product dispatch.
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